GOLD is the﻿ money of the KINGS, SILVER is the money of the GENTLEMEN, BARTER is the money of the PEASANTS, but DEBT is the money of the SLAVES!!!

Thursday, June 12, 2014

How (and When) the Dollar Will Collapse | Jerry Robinson

Q1 GDP was only 0.1% in the United States. In that number is
something called Nominal GDP, which is Real GDP plus inflation. Nominal
GDP was reported by the government as 1.4%, which means that inflation
in Q1 was running at a 1.3% annualized rate.
Energy prices were up
3.3% year-over-year. Food prices as measured by protein, which is meat,
poultry, fish, and eggs, were up 6.4% year-over-year. Health care costs
were up 9.9% in the past year. That’s the largest increase in health
care costs in 30 years. The cost of living has skyrocketed in the past
year for anyone eating proteins, or anyone who was paying for health
care and energy. So taking a real inflation measure off the Nominal GDP
print, you can clearly see that the U.S. economy is contracting right
now.
The reason we are in a further period of contraction is the
government never allowed the economy to heal. Instead, the Fed used
quantitative easing to inflate real estate prices and stock prices. This
has served to destroy the American middle class. This also increased
the wealth gap.
As proof of how badly the economy in the United
States is struggling, look at the retail sales numbers that came out
this week. The following companies that cater to the middle class
reported vastly disappointing earnings: Target, Home Depot, Walmart,
Lowe's, Dick’s Sporting Goods, PetSmart, Urban Outfitters, Staples, and
Sears. You cannot grow an economy in aggregate if you do not have a
healthy middle class.
This is why the U.S. economy will never get
healthy until we actually allow the middle class to have real wage
increases. This also means the Fed would have to allow inflation to
fall. But they won't do that, they have essentially signed our economy's
death warrant.